Search form

Login - Register | FOLLOW US ON

Logo of Phnom Penh Post newspaper Phnom Penh Post - Sri Lankan firm buys local MFI

Sri Lankan firm buys local MFI

US-based investment bank Developing World Markets Asset Management (DWM) has sold the controlling stake in Cambodia’s fifth-largest microfinance institution, Thaneakea Phum Cambodia (TPC).

A statement issued on Friday says DWM sold a 55 per cent equity stake in TPC to LOLC Micro Investments (LOMI), a subsidiary of publicly listed Sri Lankan financial services conglomerate Lanka Orix Leasing Company. DWM will retain a 37 per cent stake in TPC.

TPC’s employee association also sold its 4.5 per cent stake in the company to LOMI, taking the buyer’s controlling share to 60 per cent. The deals received regulatory approval from Cambodian and Sri Lankan authorities earlier this month.

“Though it has made significant strides in recent years, Cambodia’s financial services sector remains underdeveloped,” Ravi Tissera, director and CEO of LOMI said. “There is a large opportunity for innovative financial services firms to increase their impact across the country, and we look forward to working with TPC’s management and employees to provide sustainable financial services that improve the lives of clients.”

Bun Mony, chairman of the Cambodian Microfinance Association welcomed the purchase.

“All the time there are banks from places like Hong Kong, Korea, Taiwan and Japan looking at the industry . . . I guess the high density of companies now in the sector – about 42 or so – could be a minor concern for them, however,” Mony said.

“But this is good news. LOMI has lots of experience to share with TPC.”

0

Comments

Please, login or register to post a comment

Latest Video

Phnom Penh eats: Homegrown veggies at Bayon Beoung Snor

​Nestled along National Road 1, Bayon Beoung Snor is a farm-cum-restaurant. The team grows their own vegetables, which they then use to whip up traditional Khmer food.

Bill Clough reflects on The Phnom Penh Post's 25 year history

The Post's publisher Bill Clough, under whose leadership the publication went from a fortnightly to a daily one, discusses his investment in Cambodia, his vision for the paper in an increasingly digital age,

People search for their names on the voter lists at a polling station in Kampong Cham’s Veal Vong commune earlier this month.

Four years ago, when the opposition snatched Kampong Cham away from the ruling party in 2013 national elections, it hinted at a deeper shift taking

Comfrel Executive Director Koul Panha speaks to the press at a meeting yesterday in Phnom Penh.

As the National Election Committee launched into the recount proc